Question

When does a car become a classic for insurance?  

A car becomes a classic for insurance typically when it is aged above 20 years, while the age varies among insurers. Other factors, such as the rarity, cultural significance, and annual mileage, are also critical to classify a car as classic in insurance.  

Here are the general criteria used by insurers to entitle a car as classic:  

• Age between 20 and 40 years  
• Lower usage  
• Secure storage  
• Specialized repair and parts needs  
• Well-maintained or professionally restored  
• Recognition from classic car communities such as the Antique Automobile Club of America (AACA) and the Classic Car Club of America (CCCA).    

Does insurance go up for classic cars?  

No, the insurance rate for a classic car is relatively cheaper when compared to the insurance cost of a regular car of the same age. The value of a classic car is not evaluated based on age and depreciation. Based on the rarity and restoration value, insurers offer an agreed value, which is much higher than the actual value. Though the agreed value is higher, the insurance rates are under control due to the limited annual mileage, secured storage, and clean driving record of the owner.